Tata Motors Q4 Review - Margin, Free Cash Flow Continue To Positively Surprise: ICICI Securities
The logo for Tata Motors Ltd. is displayed on the front grill of a Tata Indica vehicle at a showroom. (Photographer: Abhijit Bhatlekar/Bloomberg News)

Tata Motors Q4 Review - Margin, Free Cash Flow Continue To Positively Surprise: ICICI Securities

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ICICI Securities Report

Tata Motors Ltd.'s Q4 FY21 operational performance was ahead of consensus estimates with consolidated Ebitda margin at 14.4% (up 444 basis points YoY), driven by strong performance in domestic passenger vehicle (~5%)/commercial vehicle(~9%) and Jaguar Land Rover (15.3%).

Free cash flow generation (Q4: Rs 102 billion) aided net debt reduction (QoQ: Rs 138 billion) and conservative FY22 free cash flow target is more than £500 million (excluding one-time restructuring costs).

In JLR management remains focused on capital deployment towards future technologies with low going concern risk while improving core Ebit margins (FY24 target: more than 7%).

Click on the attachment to read the full report:

ICICI Securities Tata Motors Q4FY21 Results Update.pdf

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